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TSX:MSV OTCQX: MISVF November 2017 TSX MSV Forward Looking - - PowerPoint PPT Presentation
TSX MSV DB:A0ESX5 QX: MISVF TSX:MSV OTCQX: MISVF November 2017 TSX MSV Forward Looking Statement Except for the statements of historical fact, the information contained herein is forward looking nature. Forward looking information includes,
TSX MSV
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Except for the statements of historical fact, the information contained herein is forward looking nature. Forward looking information includes, but is not limited to, statements with respect to the future price of minerals and the effects thereof, the timing and amount of estimated capital expenditures, the estimation of mineral reserves and resources, the realization of mineral reserve estimates, costs and timing of proposed activities, plans and budgets for and expected results of exploration and/or production activities, exploration and/or production and permitting time-lines, requirements for additional capital, government regulation of mining operations, environmental risks and reclamation obligations and expenses. This forward looking information is based on certain assumptions that Minco Silver Corporation (the "Company") believes are reasonable, including that the current price of and demand for minerals being targeted by the Company will be sustained or will improve, that the Company's current programs and objectives can be achieved, that general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed on reasonable terms and that the Company will not experience any material accident, labour dispute, or failure of plant or equipment. Such forward looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of the Company to be materially different from any future results, performance or achievements expressed or implied by statements containing forward looking information. Such factors include, among others, results of exploration and development activities; our historical experience with development-stage mining operations; regulatory changes; possible variations in reserves, grades or recovery rates; availability of materials and equipment; timeliness of government approvals; changes in commodity prices, particularly silver prices; general economic, market and business conditions; unanticipated environmental impacts on operations; the availability of capital on acceptable terms; and the other factors discussed in the section
Certain information contained in this presentation concerning the industry and market in which the Company operates has been obtained from publicly available information from third party sources. The Company has not verified the accuracy or completeness of any information contained in such publicly available information. In addition, the Company has not determined if there has been any omission by any such third party to disclose any facts, information or events which may have occurred prior to or subsequent to the date as of which any such information became publicly available or which may affect the significance or accuracy of any information contained in any such information and summarized herein. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or
such statements. Accordingly, readers should not place undue reliance on statements containing forward looking information. Except as required under applicable securities legislation, the Company does not intend, and does not assume any obligation, to update this forward looking information. Further information is available in the Company's publicly filed documents available elsewhere on this website and on SEDAR at www.sedar.com, including but not limited to: the NI 43-101 technical report dated May 8, 2009 and titled "Technical Report and Updated Resource Estimate on the Changkeng Gold Property Guangdong Province, China", the technical report dated October 23, 2009 entitled "Fuwan Silver Project Feasibility Study Technical Report" prepared by Jianhui (John) Huang, P.Eng., S. Byron V. Stewart, Pe.Eng., Aleksander (Sasha) Živkovic, P.Eng., Scott Cowie, B.Eng., MAuSIMM and Eugene Puritch, P.Eng. (the "Technical Report"). Wayne Spilsbury, a director of the Company, is a member of the Association of Professional Engineers and Geoscientists of British Columbia, a Fellow of Australasian Institute of Mining and Metallurgy and is a "qualified person", as defined in NI 43-101. Mr. Spilsbury has supervised the preparation of the technical content of this presentation. This presentation uses the terms "indicated resources" and "inferred resources". U.S. investors are advised that while these terms are recognized and required by Canadian regulations, the U.S. Securities and Exchange Commission (the "SEC") does not recognize them. "Inferred Resources" have a great amount of uncertainty as to their existence and their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of "Inferred Resources" may not form the basis of feasibility or other economic studies. U.S. investors are also cautioned not to assume that all or any part of an "Inferred Mineral Resource" exists, or is economically or legally mineable. In addition, the terms "mineral reserve" and "probable mineral reserve" are Canadian mining terms, the definitions of which differ from the definitions of the SEC. Under SEC Industry Guide 7 standards, a "final" or "bankable" feasibility study is required to report reserves, the three-year historical average price is used in any reserve or cash flow analysis to designate reserves and the primary environmental analysis or report must be filed with the appropriate governmental authority.
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EXPERIENCED BOARD FULLY FINANCED LOW NUMBER OF SHARES ISSUED & OUTSTANDING ROBUST PROJECT HIGH GROWTH POTENTIAL EXPERIENCED MANAGEMENT Minco Silver is a Canadian based mining company focusing on the exploration and development of mineral resource projects.
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SHARES As at September 30, 2017 Shares Outstanding 60,691,414 Options 6,198,671 Performance Share Units 1,000,000 Fully Diluted 67,880,085 52 week Lo/Hi C$0.71 - C$1.74 CAPITALIZATION As at September 30, 2017 Market Capitalization C$50,373,874 Working Capital C$47,685,018 As at September 30, 2017 Minco Gold 18.12%
SHAREHOLDERS WITH MORE THAN 10% HOLDINGS
6,163,671
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On July 35, 2015 the Company acquired a 51% in interest in the Changkeng Gold Project. Changkeng is adjacent to the Fuwan Silver deposit. Location
China with 13 million people and the capital city of Guangdong Province.
Project Resource Estimate
depth
and Silver Deposits approved by the Ministry of Land and Natural Resources.
Classification Tonnes Au (g/t) Au (oz) Ag (g/t) Ag (oz) Indicated 3,961,000 4.89 623,100 11.2 1,423,000 Inferred 4,001,000 3.01 386,800 9.5 1,218,000
Changkeng Gold Deposit
Changkeng Gold is located immediately north of the Fuwan Silver Project
Ontario, and Antoine Yassa, P.Geo. Quebec, all of P&E Mining Consultants Inc., Brampton, Ontario, Canada. Effective Date: February 21, 2009. ** The AuEq grade was calculated from metal prices of US$800/oz Au and US$14/oz Ag with respective recoveries of 95% and 90%.
Fuwan Silver Deposit
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Location
from Hong Kong Ownership
Company Foshan Minco, beneficially owns 100% interest in the Fuwan Silver Project
interest by Guangdong Geological Exploration & Development Corporation, a government entity
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Located in Guangdong Province, 45 km southwest of Guangzhou, China’s 4th largest city. FUWAN
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a small portion explored to date
area of the Fuwan project
silver belt
and inferred resources
exploration opportunity
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southeast
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Longitudinal section
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RESERVES***
tonnes Ag Ag Au Pb Zn (g/t) (oz) (g/t) (%) (%)
Probable Reserve (Diluted - In Situ) 9,118,000 189 55,300,000 0.15 0.20 0.57 ~~~ all of the economics contained in the Feasibility Study are derived from the Probable Reserves only ~~~ RESOURCES* Indicated Fuwan Permits 13,948,000 188 84,268,000 0.17 0.20 0.56 Changkeng Permits** 2,027,000 142 9,235,000 0.40 0.20 0.61 Total Indicated Resources 15,975,000 182 93,503,000 0.20 0.20 0.57 Inferred Fuwan Permits 10,241,000 171 56,147,000 0.26 0.26 0.72 Changkeng Permits** 1,049,000 212 7,136,000 0.29 0.37 0.86 Total Inferred Resources 11,290,000 174 63,283,000 0.26 0.27 0.73
* NI 43-101 & NI 43-101F1 TECHNICAL REPORT Tracy Armstrong, P. Geo., Eugene Puritch, P. Eng., Antoine Yassa, P. Geo., P&E Mining Consultants Inc. Brampton, Ontario, Canada. Report No. 144, Effective Date: December 2, 2007, Signing Date: January 25, 2008 (with 40 g/t cut off) ** Resources reported on the Changkeng permit represents 51% of the actual resources and reflects Minco’s actual ownership of the Changkeng portion *** FUWAN SILVER PROJECT FEASIBILITY STUDY TECHNICAL REPORT, EFFECTIVE DATE: SEPTEMBER 1, 2009, ISSUE DATE: OCTOBER 23, 2009, Prepared by: Jianhui (John) Huang, P.Eng., S. Byron V. Stewart, P.Eng.,, Aleksandar (Sasha) Živković, P.Eng., Scott Cowie, B.Eng., MAuSIMM, (Wardrop, A Tetra Tech Company), and Eugene Puritch, P.Eng., (P&E Mining Consultants Inc.)
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Red - Probable reserves
Model is not rendered to scale
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International Standards
Slide 8)
FUWAN SILVER PROJECT FEASIBILITY STUDY TECHNICAL REPORT, EFFECTIVE DATE: SEPTEMBER 1, 2009, ISSUE DATE: OCTOBER 23, 2009, Prepared by: Jianhui (John) Huang, P.Eng., S. Byron V. Stewart, P.Eng., Aleksandar (Sasha) Živković, P.Eng., Scott Cowie, B.Eng. MAuSIMM, (Wardrop, A Tetra Tech Company) and Eugene Puritch, P.Eng. (P&E Mining Consultants Inc.)
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KEY INDICATORS
Results (in US dollars) Probable Reserve of Silver (9.118 Mt averaging 189 g/t of Silver) 55 million oz Mine Life 9.2 years Metallurgical Silver Recovery 91% Average Annual Silver Recovery 5.5 million oz Operating Costs (per tonne ore processed)
(Mining = $18.01; Processing = $9.90; Tailings = $1.13; G&A = $4.78; Surface = $0.60)
$34.42 Cash Cost per Payable ounce of Silver $5.65 (per oz) Pre-Production Capital Costs (CAPEX) $ 73.1 million Total Revenue* $648.2 million Total Operating Cost $313.8 million Total Royalty Payment $ 24.3 million Total Operating Cash Flow $310.0 million NPV @ 8% Discount Rate $ 95.3 million NPV @ 6% Discount Rate $111.5 million Pre-Tax IRR 33.2% Payback Period of Pre-Production Capital Costs 2.3 years Construction Period 20 – 24 months
* Base Case Silver price used $13.57 per oz, 3 year rolling average as at April 29, 2009 . FUWAN SILVER PROJECT FEASIBILITY STUDY TECHNICAL REPORT, EFFECTIVE DATE: SEPTEMBER 1, 2009, ISSUE DATE: OCTOBER 23, 2009, Prepared by: Jianhui (John) Huang, P.Eng., S. Byron V. Stewart, P.Eng., Aleksandar (Sasha) Živković, P.Eng., Scott Cowie, B.Eng. MAuSIMM, (Wardrop, A Tetra Tech Company) and Eugene Puritch, P.Eng. (P&E Mining Consultants Inc.)
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& nearby waterway
easily are obtainable
EXCELLENT INFRASTRUCTURE
plant, tails storage facility
Paved highway near Fuwan
Power Plant Fuwan Township
Eastern view from Fuwan Deposit
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APPROVED
STUDIES
TO BE COMPLETED
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TO BECOME A MID-TIER SILVER & GOLD PRODUCER
THE ADVANTAGES (Mining in China)
CLOSE TO END MARKET
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President, Chairman & Chief Executive Officer
Larry Tsang Chief Financial Officer.
private and public companies.
Grand Peak Capital Corp.
Jennifer Trevitt Vice President Corporate Affairs & Corporate Secretary
Finance Industry
Base Metals Corporation.
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DB:A0ESX5 QX: MISVF Wayne Spilsbury, P.Geo. Director (Audit Committee, Compensation Committee, Nominating Committee)
Metallurgy. George Lian Director (Audit Committee, Compensation Committee, Nominating Committee)
Tim Sun Director (Compensation Committee, Nominating Committee)
Maria Tang, CA, CPA (Delaware) Director (Audit Committee)
industry
whose operations are in China
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2772-1055 West Georgia St. PO Box 11176 RCM Vancouver, B.C. Canada V6E 3R5 T.F. 1. 888. 288. 8288 TEL 604. 688. 8002 Fax 604. 688. 8030 pr@mincomining.ca www.mincosilver.ca TSX:MSV OTCQX:MISVF